Jerry Gulke, president of the Gulke Group, says just a few years ago, export sales were double of this week’s level. He’s not surprised exporters are the end users that are falling off the fastest in the corn-supply and demand table.

"That’s partly what has to happen when you produce 1 billion bushels less. You have to cut demand somewhere."

Gulke believes the U.S. will likely keep cutting exports until the corn supply is replenished. He is also encouraged by the reduction in exports, as he thinks the supply/demand situation for corn may actually be able to reach equilibrium.

"If we’re using market share in exports and aren’t feeding as much here, maybe it will balance out. Maybe we’ll just make it on this short crop."

Trade Turns Sideways

As of Monday, Oct. 22 nearly 90% of the crop has been harvested, according to USDA. Normally, only around half of the corn crop is harvested by this point of the season. Key corn-growing states like Illinois, Iowa and Minnesota have all surpassed 90%.

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Anonymous10/27/2012 12:11 PM

I believe the US should have more subsides for healthy fruits and veggies, and less subsides for corn and soybeans. The low cost of corn and soybeans, and their byproducts like high fructose corn syrup and soy lecithin, are major contributing factors to our growing obesity problem. Creating more subsidies for healthy fruits and veggies will lower cost on these healthy foods, as well as lower our healthcare cost by reducing the amount of obesity related diseases. Also, I believe we should eat less meat, as our high meat consumption also contributes to high healthcare cost and raising of meat produces a lot of greenhouse gases. By the way, Jesus was a vegetarian, expect for fish.

Anonymous10/27/2012 12:11 PM

I believe the US should have more subsides for healthy fruits and veggies, and less subsides for corn and soybeans. The low cost of corn and soybeans, and their byproducts like high fructose corn syrup and soy lecithin, are major contributing factors to our growing obesity problem. Creating more subsidies for healthy fruits and veggies will lower cost on these healthy foods and lower our healthcare cost by reducing the amount of obesity related diseases. Also, I believe we should eat less meat, as our high meat consumption also contributes to high healthcare cost and raising of meat produces a lot of greenhouse gases. Jesus was a vegetarian, expect I believe he ate fish.